Airport privatisations: investment’s hottest tip

Author: Gemma Varriale | Published: 6 Nov 2013
  • Airport privatisations, asset sales and PPPs have been on the rise over the last two years, and are a hot tip for infrastructure investors;
  • Among the factors would-be investors need to consider are the quality of airlines serving the airport, and the scope for additional revenue streams they offer;
  • Japan and the US are among the countries with underdeveloped PPP markets, presenting a major opportunity for the future.

The last two years have seen an increase in privatisations, asset sales and public-private partnerships (PPPs) of European airports, making the sector a hot tip for infrastructure investors. But there are risks that would-be investors need to look out for.

A recent note from Freshfields Bruckhaus Deringer highlighted the trend, noting that despite the risks, many investors believe the right airport...